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Solar, Battery Storage To Lead U.S. Generating Capacity Additions in 2025

18 June 2025

U.S. Generating Capacity

New developments in renewable energy technology are contributing significantly to the U.S. generating capacity. According to the U.S. Energy Information Administration, annual U.S. electricity consumption is projected to increase in 2025 and 2026, surpassing the previous record and driving a major expansion in power generation capacity, led by solar and battery storage technologies. Utility-scale solar will dominate this growth, with around 135 GW expected to be added between 2020 and 2026, resulting in a 34% rise in generation in 2025 and 18% in 2026.

Planned Utility-scale Electric-generating Capacity Additions (2025) (GW)

The Energy Information Administration's preliminary monthly electric generator inventory estimates that 63 GW of new utility-scale generating capacity will be installed in 2025, nearly 30% more than in 2024, which saw 48.6 GW, the highest yearly addition to U.S. generating capacity since 2002. Solar and battery storage will account for 81% of this increase, with solar alone making up over 50%.
 
In 2024, a record 30 GW of utility-scale solar was added to the grid, representing 61% of total capacity additions. That momentum will continue in 2025, with the projected 32.5 GW of new solar capacity. Texas (11.6 GW) and California (2.9 GW) will lead the U.S. generating capacity, while Indiana, Arizona, Michigan, Florida, and New York are set to contribute a combined 7.8 GW, each adding over 1 GW.

Battery storage capacity is also on a sharp rise. In 2025, 18.2 GW of utility-scale battery storage is forecasted, up from 10.3 GW added in 2024. These systems don’t generate electricity but store it from generators or the grid, making them critical for balancing intermittent sources like solar.

Artificial intelligence is growing in optimizing solar operations for U.S. generating capacity. AI-powered forecasting improves solar energy prediction using weather data. Predictive maintenance helps detect system failures before they occur. Natural language-based querying tools simplify operational reporting. AI-driven trading algorithms enable smarter, real-time participation in electricity markets. These innovations help the solar and storage sectors overcome operational and economic challenges.

Alex T

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